The Indian Growth Story

India:10 Insights

into the Indian growth story

Asia 5Bringing you a flavour of businesstrends in Asia...in just 5 minutes

A Futures Coaching initiativewww.futurescoaching.com

India will add 10 million new workers to its population every year til 2025 (i.e. the equivalent to the size of Portugal each year)

Goldman Sachs' says: “India's demographics are astonishing, the most favourable in the World”

more workers

In smaller companies, an Indian manager will typically work

11 hours a day, 6 days a week

hard work culture

India has second largest pool of science and engineering

graduates in the world and churns out 2.3m per year (source: Ernst and Young)

clever workers

12 largest population of Highest Net

Worth individuals in

the World(source: Merrill Lynch, World Wealth Report)

entrepreneurs

The number of middle-class Indians will swell to 267Mn by 2015 – up 67%

from today's levels (source: National Council for Applied Economic Research)

Per capita incomes are $3703 in PPP-adjusted terms

(source: IMF, 2011)

Economically, Goldman Sachs forecast that, by 2050, India could

be 30 times bigger than today making it easily the third biggest

economy in the World

spending power

versus China

India has huge differencessome positive, some negative

- Autonomous regions- Bickering democracy- Antiquated caste system- Competing faiths- Complicated colonial heritage- Poor transport- Credible legal system- English language speaking- Home-grown technology companies

but poverty

In 2010, 37% were below poverty line (source: Economy Watch)

Whilst 82% of the Worlds' population is literate, only

67% are in India

Only 11% have health insurance

but corruptionIndia is ranked 95th in a corruption perception index (source: Transparency

International, 2011)

In 2011, the planned anti-corruption bill failed to

pass into law

Billionaire Ajay Piramal wants to invest but says

“the problem is not opportunity...it's India”

but paralysis

In 2011, Indian Parliament passed just 22 laws – the second fewest since 1952

After a bust up inside Parliament in December

2011, the opposition spoke darkly of “the

murder of democracy”

http://www.youtube.com/watch?v=Fu8uqMEmyRE

but protectionism

Will they, won't they?

After it looked, finally, that India would open up

its retail to FDI, the measure was blocked yet again in December 2011

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